How to Fix a W2 Error

Anyone can make errors on tax paperwork. Even when you verify data ahead of time, you might omit important information. Often, employers correct W2 forms. Here's how to do it.

Instructions

Difficulty: Moderate

Things You’ll Need:

• Employee name and address
• W2c forms
• W3c forms
• Employee Social Security number
• Employee wage and earnings data

Fix an Error on an Unfiled Form

1. Fill out a new W2 form with the correct figures. Then proceed as you normally would, filing the W2 with the Social Security Administration.
2. Issue a new W2 to the employee who received an incorrect W2. On top of the employee's copy of the new W2, write "corrected." If she has not yet filed a tax return, that person should use the new W2 to file taxes.
3. Let your employee know that if she already filed her income taxes, she may have to file an amended form based on the corrected W2.

Fix an Error on a Filed W2 Form

4. Prepare a form W2c for the individual who received an incorrect W2. You should also complete a W3c to go along with the W2c. File the W2c and W3c forms with the government.
5. Void a W2 you accidentally submitted by using form W2c. For the previously reported amounts, use those that were on the original W2. List the corrected amounts as zero.
6. Report income and tax withholding items that you need to fix. If an amount is zero, do not leave the box blank. Instead, enter a "0" into the box.

Tips & Warnings

• Change only the employee's name and/or Social Security number by filling in sections "a" through "i" in the top portion of form W2c. You do not need to complete the "changes" section or submit a W3c with the W2c.
• To correct only an address error (if everything else on a W2 is correct), reissue a new W2 to the employee and indicate on the form, "reissued statement." You may also issue a W2c to the employee or reissue the original W2 in an envelope with the corrected address on it. Do not send a W2c to the SSA for this purpose.